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The company can sell all the units it can produce of either Product A or Product B. Product A has a unit contribution margin of
The company can sell all the units it can produce of either Product A or Product B. Product A has a unit contribution margin of $16 and takes two machine hours to make and Product B has a unit contribution margin of $18 and takes three machine hours to make. If there are 600 machine hours available to manufacture a product, how much more will the company earn if Product A is the only product produced than if Product B is the only product produced? Do not use dollar signs or commas.
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